Ora Banda Mining Achieves Record $76.3 Million Cash Flow from Gold Operations
Ora Banda Mining has delivered an exceptional performance at its Davyhurst gold operations near Kalgoorlie in Western Australia, banking a massive $76.3 million in free cash flow for the March quarter. This record-breaking result marks a significant milestone for the company, which is now sitting on a formidable cash reserve of $231.7 million.
Stellar Production and Processing Gains
The company produced 38,766 ounces of gold during the quarter, representing a 21 per cent increase compared to the previous period. This surge was driven by record performance at the Davyhurst processing plant, which achieved a new throughput high of over 340,000 tonnes, up 17 per cent, alongside a gold recovery rate of 93 per cent. Ore feed came from an expanded portfolio of three mining operations, enhancing overall efficiency.
Expanded Mining Operations and Resource Growth
Key contributions came from the Riverina underground mine, which saw a 36 per cent lift in total ounces mined to 19,941, and the Sand King underground operation, which added 19,261 ounces, a 25 per cent increase. Additionally, Ora Banda commenced open-pit mining at its Waihi deposit, located just three kilometres from the Davyhurst mill. To manage the increased output, the company has begun trucking ore to the nearby Paddington mill for third-party processing, slightly raising costs but boosting cash flow.
Exploration efforts have yielded remarkable results, with a tenfold increase in the Round Dam trend mineral resource to 25.6 million tonnes grading 1.6 grams per tonne for 1.33 million ounces of gold. This upgrade drove a 57 per cent leap in the company’s global resource base, now exceeding 3.3 million ounces. Ongoing drilling at the Little Gem prospect has expanded its mineralised envelope, and a new parallel structure, the Sapphire trend, was discovered nearby.
High-Grade Discoveries and Future Plans
Drilling at the Golden Pole lode within the Waihi project returned impressive grades, including a 7-metre hit at 27.4 grams per tonne gold and another hole at 2.2 metres with 56.3 grams per tonne gold. Managing director Luke Creagh highlighted these achievements, noting they were made possible through a $73 million investment in exploration and resource development for the financial year 2026.
For the quarter, Ora Banda sold 38,637 ounces of gold at an average realised price of $6,921 per ounce. All-in sustaining costs were $3,612 per ounce, up quarter-on-quarter due to third-party milling expenses. The company is addressing this with studies for a new standalone 3-million-tonne-per-annum processing plant, expected to be finalized this quarter.
Strong Outlook and Strategic Positioning
With a $73 million exploration budget and ongoing success across its projects, Ora Banda is ramping up its hunt for more gold in Western Australia’s greenstones. The 38,000-ounce quarterly haul positions the company well to meet its 150,000-ounce annual production guidance from high-grade underground mines. Once struggling, Ora Banda now boasts robust financial health, multiple operations, and a growing resource base, signaling a positive trajectory for future growth.
